Saturday December 20, 2014 Search
Weather | Athens
17o C
10o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Merkel cites euro’s ‘construction flaws’ as economy sputters

By Patrick Donahue

German Chancellor Angela Merkel urged euro-area leaders to coordinate more closely on economic policy and repair the “construction flaws” built into the 18- member currency union to overcome the debt crisis.

Speaking to a gathering of Nobel laureates in economics in the southern German city of Lindau on Wednesday, Merkel cited excessive debt, an aging population and an opaque European banking system as contributors to malaise.

“One can say we’re bearing the first fruits, but we also have to ask whether this is enough,” Merkel said in a speech. “We have a domestic market, but we have very little political coordination on the economy and no obligatory or sanctioned possibilities at all for not holding to our own promises.”

Growth in the euro area ground to a halt in the second quarter as the German economy contracted, casting a shadow over the recovery from the region’s debt crisis crisis that began in Greece in 2009.

Merkel acknowledged criticism of Germany’s austerity-first approach to the crisis and cited the task of finding agreement among 28 EU members and 18 countries in the euro area, each with its own policy approach, and one central bank.

“This is a rather unique process,” Merkel said.

Columbia University economist Joseph Stiglitz derided German-style austerity in an interview earlier in Lindau as a “dismal failure” in light of the sputtering economy and soaring unemployment.

“Now we see the enormous price that Europe is paying,” Stiglitz told Bloomberg Television. “Hopefully the reality of this failed policy will strike.”

The economies of Germany, France and Italy -- the largest in the currency union -- stagnated or shrank in the second quarter, threatening recovery and raising pressure on the European Central Bank to expand stimulus.

Euro-area inflation slowed to 0.4 percent in July, the weakest pace in almost five years, compared with the ECB’s goal of just under 2 percent. Unemployment was 11.5 percent in June, near the record 12 percent set last year as the region exited its longest-ever recession.

[Bloomberg]

ekathimerini.com , Thursday August 21, 2014 (10:58)  
Workers rush to get early retirement
Piraeus Containter Terminal goes from strength to strength
Moscovici: Creditor inspections to become less frequent and ‘lighter’
Property capital gains tax halt
Tsipras admits there could be hard days ahead
SYRIZA leader Alexis Tsipras said on Friday that he is determined to implement his party’s economic program if it comes to power but admitted that it would experience a challenging period. “...
Public medical centers keeping up despite shortages
Despite having just 1,050 doctors, medical centers belonging to Greece’s public health system (PEDY) saw more than 200,000 regular and emergency patients, made over 3,500 house calls and iss...
Inside News
BASKETBALL
Explosive Barca unfazed by Panathinaikos, bomb scare
Panathinaikos lost 80-67 at home to Barcelona on Friday in a rather meaningless game at the end of the first group stage of the Euroleague, but the encounter will be remembered for the bomb ...
SOCCER
Abidal cuts short playing career at Olympiakos
Former France and Barcelona defender Eric Abidal announced his retirement from football on Friday, a day before his last match. Abidal said he will finish after playing for Olympiakos agains...
Inside Sports
COMMENTARY
The big picture
In his second term, US President Barack Obama is taking steps to enshrine his legacy and solidify America’s standing in the 21st century. His recent decision to normalize relations between t...
EDITORIAL
Get your facts straight
The danger that political discourse in Greece will sink to the basest levels of vulgarity is already more than apparent from the allegations we have heard bandied about over recent days. The...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Explosive Barca unfazed by Panathinaikos, bomb scare
2. Tsipras admits there could be hard days ahead
3. Public medical centers keeping up despite shortages
4. Workers rush to get early retirement
5. Piraeus Containter Terminal goes from strength to strength
6. Moscovici: Creditor inspections to become less frequent and ‘lighter’
more news
Today
This Week
1. The big picture
2. Get your facts straight
3. Ship with 200 migrants off Pylos towed to Italy after passengers refuse to stop in Greece
4. Independent Greeks MP Haikalis claims attempted bribery for presidential vote
5. Independent Greeks leader backs MP's bribery claims, threatens to release video [Update]
6. Greek PM Samaras confronts peril putting his Greek transformation to vote
Today
This Week
1. Juncker warns Greeks against voting 'extreme forces' into power
2. Romanos and the dilemma
3. Samaras summons bond vigilantes with euro exit talk
4. A friendly yet firm message from Pierre Moscovici
5. Europe's drama in Greece needs final act to avoid tragedy
6. High stakes
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.